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Phil Falcone, the embattled billionaire hedge fund manager, has put together an unorthodox IPO that will see his hedge fund firm contribute assets valued at $350 million to a blank check company that will trade publicly.

In the deal, a special purpose acquisition company that is expected to trade on Nasdaq and be known as Harbinger Global Corp., will acquire a majority interest in an MGM-branded hotel and casino development in Vietnam and a minority interest in an iron ore producer working in Brazil. Funds run by Falcone’s Harbinger Capital Partners that are contributing the assets will get an ownership stake that could be as high as 96% in Harbinger Global and Falcone is slated to become executive chairman of the company.

Falcone’s move to become closely involved in a publicly-traded company is audacious given that he is currently facing securities fraud charges from the Securities & Exchange Commission. Falcone has denied any wrongdoing and plans to fight charges that were filed against him last month that include allegations he fraudulently took out a $113 million loan from one of his hedge funds to pay his personal taxes and gave certain of his investors like Goldman Sachs preferential treatment. Falcone is already chairman of another publicly-traded company called Harbinger Group.

Independent from his battle with securities regulators, Falcone’s hedge funds have performed terribly over the last two years, partly because of a troubled investment in another illiquid company, LightSquared, a wireless communications firm that has filed for bankruptcy. Falcone made it big by betting against shaky mortgages just prior to the housing bust, but after his tough stretch Harbinger Capital Partners oversees a fraction of the $26 billion it had under management at its peak.

“We see this platform as providing investors in our funds with enhanced liquidity and opportunities for diversity and meaningful capital appreciation,” Falcone said in a statement, adding the deal, which is expected to close in August, creates a “new permanent capital vehicle focused on emerging markets.”

The CEO of the new company will be Peter Ziegler, an Australian banker who put together the blank check company, originally called Australia Acquisition Corp, as part of a$64 million IPO in 2010. Current stockholders in the company will have the option to redeem their shares in return for an amount of cash that is equal to their pro rata share of the funds remaining from the 2010 offering, or they can choose to stay on and ride with Falcone.

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